Industry leaders say this will be the biggest hemp processing facility in the country.
The business was voted in by council members in a five to one vote.
The new business, CBD Biosciences, will take over the former Boeing building at the Airport Industrial Park. The building has stood vacant for several years.
This will be paid for using $4.89 million out of the city’s half-cent sales tax fund.
It’s a plan that will bring 163 new jobs to the area within two years.
Pueblo’s Economic Development Corporation (PEDCO) says although hemp products contain traces of THC, the active ingredient in marijuana, this will not be used for any recreational or medicinal marijuana production.
The new company owners were pleased with the positive response from council.
“I’m thrilled and delighted and really excited to see that unbalance the city council members understand the enormous opportunity and potential of the hemp industry,” Steve Berg, CFO of CBD Biosciences said.
This vote didn’t come easy. The City Attorney expressed concerns that while hemp is legal in the state of Colorado, it is still illegal on the federal level and this project does not come without risks.
A risk the city is officially willing to take on.
PEDCO will hold a formal jobs announcement on Thursday for the city’s newest company. KOAA News 5
A defunct Boeing rocket plant in Pueblo will be converted into a hemp oil production facility that will employ 163 people by 2018, Pueblo Economic Development Corp. said Friday.
The jobs are expected to pay an average of $41,590 plus benefits. This is the biggest jobs announcement by PEDCO since 2008, when Vestas said it would hire 450 people, the Pueblo Chieftain reported.
The Pueblo City Council still must approve the deal put together by PEDCO, which includes city, county and state incentives to CBD Biosciences, a joint venture of Thar Process Inc. and O.penVape.
The sprawling Boeing plant is city owned and has been mostly vacant since the aerospace giant discontinued rocket assembly there in 2004.
The council is expected to take up the matter Monday night.
The planned facility will process hemp products only and will not be used for medical or recreational marijuana, PEDCO said.
Thar is expert in the technologies used to extract fluids from a wide variety of crops and plant materials, including nuts, herbs and algae. The extracted materials are used as nutraceuticals, bioactive and pharmaceutical ingredients, natural products and biochemicals.
Denver-based O.penVape is a maker of cannabis oils and vaporization devices.
According to the Pueblo City Council agenda, the Pueblo Development Foundation will spend no more than $3 million renovating the building for CBD Biosciences. The company also will receive $4.89 million to cover the cost of equipment used in the facility. Denver Post